This Lord is Very Scientific-Chapter 646 - 578 Science and Superstition

(Anti-theft, posting tomorrow morning.) Abstract: With the advancement of technology and the coverage mode of intelligent networks, the rise of the game industry in recent years has been evident to the public. The promotional method of games is no longer restricted to rigid advertising modes, and the influence of games has gradually expanded to all aspects of life. Correspondingly, game companies also need to continuously integrate resources, innovate, update, and improve performance in line with the rapid development of the times. A diversified strategy perfectly caters to the planning needs and development goals within the game industry. Against the background of economic globalization, diversified strategy, as a preferred model for enterprise development, is equally applicable to game companies. This article explains the impact of diversified strategy on the performance of game companies using Sanqi Mutual Entertainment Company as an example.

Keywords: Diversified strategy; Game companies; Performance; Impact; Sanqi Mutual Entertainment Company

Diversified strategy is a market strategy approach adopted by enterprises in the course of operations to seize and expand new markets, also helping enterprises to avoid risks encountered in operating a single business, strategically entering new business fields with targeted plans and preparations. Applying a diversified strategy to game companies can effectively improve performance, bringing a transition from quantitative to qualitative changes in the development of game companies.

1. Macro Background of Diversified Strategy

As we enter 2021, with the country effectively controlling the pandemic, people's lives are back on track, and the economic culture is showing a positive recovery. On April 30, 2021, according to the relevant data released by the National Bureau of Statistics, the development of the national cultural industry has basically returned to pre-pandemic levels[1]. This is very favorable news for the game industry, which occupies a significant portion of the cultural industry, although the pandemic did not cause much impact on the game industry, the inability to hold offline events always affects the performance of game companies. With the warming of the cultural industry, for most game companies, this means that the great development and prosperity of the cultural industry can promote more game companies to embark on a path of sustainable development[2].

From the outbreak of the pandemic last year to the stabilization of the epidemic now, the country has introduced relevant policies from various aspects such as finance, institutional, and financial to support the development of the cultural industry. Although the pandemic has stopped people's travel, it cannot control the spread of the online network, more and more new media emergence is driving the development of the cultural industry during the pandemic prevention and control period, but since every company wants to squeeze into the online market, the competitive environment within the cultural industry is quite fierce. Many traditional offline companies could not withstand the impact of the pandemic and were eliminated by society, but in just these two years, many successful transformed cultural industries have emerged. These companies mostly rely on diversified strategy models to accelerate transformation and upgrade, also gaining abundant success during the pandemic prevention and control, receiving diversified development models and funding income channels, for example, the transformation that the Sanqi Mutual Entertainment Company carried out during the pandemic control period is worth learning by most game companies[3].

2. Brief Analysis and Classification of Diversified Strategy

(1) Brief Analysis of Diversified Strategy

Diversified strategy was proposed by the father of strategic management, Igor Ansoff, in his book "Corporate Strategy". He mentioned the classification of diversified strategy in this influential strategic model that affects global management policies, so much so that today every large and small enterprise is seeking a place according to the development model of diversified strategy[4].

(2) Classification and Meaning of Diversified Strategy

Diversified strategy is divided into four types: Horizontal diversification, Vertical integration, Concentric diversification, Overall diversification. The four different modes derived from the diversified strategy carry different meanings. Horizontal diversification refers to enterprises using the original conditions provided by the market to produce new products that meet new user needs, thus driving market consumption; Vertical integration is when an enterprise vertically derives according to its development situation, penetrating the product industry chain into other market fields to seek new consumer targets; Concentric diversification focuses more on innovation based on existing technology, requiring the production of new products within the original production range, the whole process realizes transformation via existing technology; Overall diversification pays more attention to the change in expanding the operation scope, enterprises need to connect with factors related to their products, raw materials, technology, and market to expand their operational scope[5]. 𝚏𝐫𝚎𝗲𝕨𝐞𝐛𝕟𝚘𝐯𝚎𝗹.𝕔𝐨𝗺

3. Impact of Diversified Strategy on Game Company Performance

It can be said that in the operational process of all game companies, the impact of diversified strategy on game company performance is uniformly divided into two parts: the change in operating modes and the transfer of strategic planning. These two changes gradually produce effects that drive the improvement of company performance. The impact brought by diversified strategy is multi-faceted. This paper will analyze and study the impact of diversified strategy on game company performance using Sanqi Mutual Entertainment Game Company as an example[6].

(1) Change in Operating Modes

Currently, the main operating scope of the Sanqi Mutual Entertainment Game Company is quite extensive, which relies on the advantages brought by the diversified strategy. The company's business not only involves the operation of interactive entertainment, but also takes care of the research, development, and distribution of mobile and web games under Sanqi Mutual Entertainment Game Company. In recent years of development, the company closely follows technological advancements, continuously innovating, expanding the market to layout in film and anime, including in music, VR technology, and various live entertainment businesses to shape the market cultural industry chain belonging to Sanqi Mutual Entertainment Game Company.

In 1995, Sanqi Mutual Entertainment Game Company was established, but the development path in its early stages was not smooth. The predecessor of Sanqi Mutual Entertainment Game Company was a small enterprise, initially not involved in the operation of game or entertainment industries within the Sanqi Mutual Entertainment industry chain, always facing the risk of being annexed by the market. However, relying on the steady development of a single industry, Sanqi Mutual Entertainment Company was listed in 2011, but accompanied by poor operations in its later stages and market compression, Sanqi Mutual Entertainment eventually could not escape being acquired.

In 2014, Wuhu Shunrong Auto Parts Co., Ltd. acquired Shanghai Sanqi Mutual Entertainment Technology Co., Ltd. with 60% equity. Although officially acquired, it was a development opportunity worth seizing for Sanqi Mutual Entertainment. The two companies completed various industry asset restructuring through multi-party cooperation. It is worth mentioning that the strategy that Sanqi Mutual Entertainment has always operated on was beginning to show its edge. Sanqi Mutual Entertainment Company transformed from a single modern cultural creative company before the acquisition to a dual-main business listed company with advanced production manufacturing and modern cultural creativity running parallel. Correspondingly, the business operation strategy of Sanqi Mutual Entertainment also underwent changes, with the scope of business covered by the original cultural creative industry.